Slide 26 of 84

There are two important language sections related to appropriations. The first is "No money shall be paid out of the state treasury except in pursuance of appropriations made by law." A law is statute. In order to create an appropriation a statute must be passed. It must be passed by a majority of the members of both houses and signed by the governor. Resolutions, which are used to create spending authorizations in other governmental units, do not pass muster in Michigan relative to creating an appropriation.